OpenAI NextDC strike $4.6 billion deal to build massive AI data centre in Sydney

OpenAI strikes deal on US$4.6 bn AI centre in Australia

Sydney (AFP) - ChatGPT maker OpenAI and an Australian data centre operator have agreed to develop a multibillion-dollar AI centre in Sydney. Brisbane-headquartered NextDC said Friday it signed a memorandum of understanding with OpenAI to develop an artificial intelligence campus and a "supercluster" of graphics processing units. The two firms will collaborate on planning, development and operation of the AI infrastructure partnership in western Sydney, NextDC said in a statement. NextDC shares were up 4.1 percent in early afternoon trade. Australia's government said the Aus$7 billion (US$4.6 billion) development would create thousands of direct and indirect jobs during its construction, and ongoing technical, manufacturing, engineering and operational roles. The project would use long-term power purchase agreements for new renewable energy sources and "next generation" features not requiring drinking water for cooling, the government said. "It's more proof Australia has the talent, clean energy potential, trade partnerships, and policy settings needed to be one of the big winners when it comes to AI," said Treasurer Jim Chalmers. "Partnerships like these will help create good jobs, boost skills, and spread AI adoption across our economy."

OpenAI, NextDC $7b data centre will drive green energy investment

Gift 5 articles to anyone you choose each month when you subscribe. NextDC chief executive Craig Scroggie said a landmark deal with OpenAI to run its artificial intelligence models from a new data centre in western Sydney will underpin more investment in renewable energy projects to help power the $7 billion facility. Scroggie was joined at a media conference on Friday by federal industry minister Tim Ayres, after the deal was first reported in The Australian Financial Review. Ayres said coherent energy policy was crucial to ensure enough renewable energy was available to data centres, while also helping to reduce retail prices to households.

OpenAI strikes deal on $4.6 billion AI centre in Australia

OpenAI and Australian data centre operator NextDC plan to build a major AI hub in western Sydney under a new memorandum of understanding. The multibillion-dollar project will house a GPU "supercluster", run on renewable energy and create thousands of jobs. Australia's government says the venture strengthens the nation's AI ambitions. ChatGPT maker OpenAI and an Australian data centre operator have agreed to develop a multibillion-dollar AI centre in Sydney. Brisbane-headquartered NextDC said Friday it signed a memorandum of understanding with OpenAI to develop an artificial intelligence campus and a "supercluster" of graphics processing units. The two firms will collaborate on planning, development and operation of the AI infrastructure partnership in western Sydney, NextDC said in a statement. NextDC shares were up 4.1% in early afternoon trade. Australia's government said the Aus$7 billion (US$4.6 billion) development would create thousands of direct and indirect jobs during its construction, and ongoing technical, manufacturing, engineering and operational roles. The project would use long-term power purchase agreements for new renewable energy sources and "next generation" features not requiring drinking water for cooling, the government said. "It's more proof Australia has the talent, clean energy potential, trade partnerships, and policy settings needed to be one of the big winners when it comes to AI," said Treasurer Jim Chalmers. "Partnerships like these will help create good jobs, boost skills, and spread AI adoption across our economy."

Australia's NEXTDC, OpenAI sign MoU to co-develop hyperscale AI campus, GPU supercluster

Dec 5 (Reuters) - NEXTDC said on Friday it has inked a memorandum of understanding with ChatGPT maker OpenAI to jointly plan, develop and operate a hyperscale AI campus and graphics processing unit, or GPU, supercluster at its S7 site in Sydney. The Queensland-based data centre operator's S7 site at Eastern Creek in Sydney was acquired last October for nearly A$353 million ($233.37 million) and offers 550 megawatts (MW) of potential capacity. The AI boom is spurring a global race for data centre capacity, with hyperscale builds luring tech giants and investors, and operators like NEXTDC riding the wave, lifting its contracted utilisation by 71 MW to 316 MW after recent wins. The Australian Financial Review reported on the deal on Thursday. ($1 = 1.5126 Australian dollars) (Reporting by Kumar Tanishk in Bengaluru; Editing by Krishna Chandra Eluri and Alan Barona)